Goa State Cooperative Bank Chairman Ramchandra Mule has challenged an ouster move being mounted against him in the high court of Bombay. Several board members of the Goa state cooperative bank have rebelled against him.

Mr Mule’s petition contends that the board he presides over is an elected body and therefore incapable of dissolution unless it commits irregularities. The argument against him is Nabard has recently given a damning report on its financial position and therefore Mule’s continuance as chairman has become untenable.

Sources say Mr Mule’s refusal to quit as chairman is being seen as a defence of corruption and questionable deals.

Mule is also on the board of NAFSCOB, the apex cooperative body of state cooperative banks and his removal at state level would have its fallouts at NAFSCOB too.